Power of Attorney

1.  What is a Power of Attorney and are they legally required?

As is the case with your Will, there is no legal requirement to have a Power of Attorney however they must be registered with the Office of the Public Guardian.  A Power of Attorney is an extremely important and powerful document in a person’s life you appoint a person, referred to as the “Attorney” to make decisions when you are not able to do so for yourself.  Many people still believe the notion that a Power of Attorney is something to consider in your later years, however nothing could be further from the truth.  We never know what is around the corner and a Power of Attorney can help you stay in control of your life should you not be able to do this for yourself.  Ultimately, your Attorney has the ability to make legal and medical decisions for you.

2.  Why do I need a PoA, can’t my next of kin just do these things?

This is actually quite a common question.  However, many people are not aware that “next of kin” is meaningless in legal terms.  Firstly, people can argue over who is next of kin and they have (in terms of life changing issues) no power to do anything.  The last thing you want, is not having the ability to appoint the person making legal and medical decisions for you.  Although family are usually consulted by medical professionals in these sorts of situations the final decision-making power remains with the doctor in charge of your care at that time.

3.  So, what happens if I don’t have one

If you were to lose capacity due to illness or an accident etc. you will require someone to have power of attorney.  If you do not have a power of attorney in place, a family member or close relative, can retrospectively apply to the court to gain this power.  This can be a lengthy and expensive process, and ultimately the person appointed may not know what you wish to happen in terms of care and finances.  

4.  Who can be my attorney?

Much like the Executor of your Will, you can appoint anyone as your attorney provided, they are willing and able to do so.  There are two types of powers you can grant to an attorney, welfare and continuing. There are many options (which we would discuss with you).  You can appoint one person to have both types of power, two people can share the two powers or you can have different attorneys appointed to different powers if you so wish. 

5.  What is Welfare Power?

A person who has Welfare Power, has the power to look after everything from your general care to serious medical decisions.  As the name suggests it is their duty to make decisions about your welfare, but not your finances.  The amount or influence this power grants would depend on your need.  It could be as important as making medical or surgical decisions on your behalf all the way through to how you dress and get around on a daily basis.  As this is very important in a person’s life it is paramount you give serious consideration to whomever you decide to appoint as your welfare attorney. 

6.  What is Continuing Power?

Continuing Power is ultimately financial power.  It is important to understand your attorney in this regard does not simply obtain your finances but is in control of how they are spending your finances.  There is some scope for this attorney to use your money but only if this is directly applicable to your needs such as travel and entertainment.  This again is an extremely important decision, depending on your needs etc. this person has the power to sell your home and purchase a home or other major items on your behalf.  Whilst any abuse of this power would be met with serious ramifications, it is again, important to ensure you have someone appointed who would look out for your best interests. 

7.  Who needs to authorise my PoA.

As this is a very powerful document, you must be deemed to be of sound mind and not lacking in capacity when you grant the Power.  As you require to have capacity to grant these powers, the PoA requires to be signed in front of, and by a Physician as well as the attorney who is verifying, they are willing on your behalf if and when required.  This can also be done by an appointed solicitor (We do no offer this service and recommend it is done by your own physician). 

8.  When can my Power of Attorney be used?

The financial PoA can be used as soon as it has been registered with the Office of the Public Guardian unless you have specified otherwise with that being said they would still (at this point) require your authority to act.  In addition to this, the Welfare Power can only be used once it has been registered and if you are unable to make decisions for yourself because you have lost mental capacity

9.  What if change my mind while I still have capacity?

Your Power of Attorney can be revoked at any time, so long as you have the mental capacity to make the decision to do so.

10.  Do I lose my money and what are the attorney’s responsibilities?

You do not lose anything at all, all of your money and assets etc. are still yours and will remain as part of our estate.  The attorney’s responsibility is to use the money only in your best interest i.e., paying mortgage, bill, food and entertainment etc.  They can use some of your money to cover reasonable expenses.  Some people will appoint joint attorneys if they have concerns about their finances.  Having an attorney does not affect your estate in any way when it comes to execution of your Will. 

11.  Anything Else…?

We fully appreciate that appointing an attorney is a very serious matter which requires a full understand.  At RJM, we welcome any questions in relation to your Power of Attorney ensure you have peace of mind.  Our Powers of Attorney are drafted by our Lawyers, and we are also happy to explain any legal jargon.  All of our prices are fixed so there is no charge for additional information, and we are happy to discuss your matters until you are fully satisfied.  If you have any additional questions, please contact us on 08000 582 520 and we will get back to you at our earliest opportunity.